Dell-EMC deal will 'set back innovation,' Sun co-founder, Vinod Khosla, says

Instead, businesses should look towards startups to provide innovative solutions

While he thinks Dell buying EMC makes sense financially, Sun Microsystems co-founder, Vinod Khosla, has little faith in the merged company's ability to innovate.

"EMC and Dell merging is a really good financial move for Michael, but it will set back innovation and distract from innovation," said Khosla, now a prominent venture capitalist, in an onstage interview at the Structure conference in San Francisco.

Asked about the future for old-line technology companies like Cisco, IBM and Dell, Khosla was pessimistic. In his view, only about half of those tech titans will stick around in the future. What's more, he said, innovation from those companies has been seriously lacking.

"They did not introduce what I would consider one new idea over the last 30 years," Khosla said. "They're all pretty good businesses, but mostly they've spent their time engineering financials."

The tech industry should expect to see much more innovation driven by startups compared to moves from large enterprises.

"I think most of the innovation, 80 percent of it or 90 percent of it, will come from startups," he said.

That remark wasn't intended as a knock against companies like Cisco and IBM, he said. They have valuable resources like brand recognition and relationships with major customers. He's in favor of established companies partnering with startups so the former can get access to new technology and the latter can benefit from the larger businesses' market position.

That's not a surprising stance for Khosla, a founding partner at Khosla Ventures, which has invested in the likes of Mesosphere and Nutanix.

As for those large companies that hope to stick around, Khosla said Microsoft is a beacon of possibility for its peers. He complimented the moves that the company has made, especially under the leadership of CEO Satya Nadella.

Join the Good Gear Guide newsletter!

Error: Please check your email address.

Tags DellappsPCstorageNetworkingSun MicrosystemsComponentssoftwareemc

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Blair Hanley Frank

IDG News Service
Show Comments

Cool Tech

Crucial Ballistix Elite 32GB Kit (4 x 8GB) DDR4-3000 UDIMM

Learn more >

Gadgets & Things

Lexar® Professional 1000x microSDHC™/microSDXC™ UHS-II cards

Learn more >

Family Friendly

Lexar® JumpDrive® S57 USB 3.0 flash drive 

Learn more >

Stocking Stuffer

Plox Star Wars Death Star Levitating Bluetooth Speaker

Learn more >

Christmas Gift Guide

Click for more ›

Most Popular Reviews

Latest News Articles

Resources

GGG Evaluation Team

Kathy Cassidy

STYLISTIC Q702

First impression on unpacking the Q702 test unit was the solid feel and clean, minimalist styling.

Anthony Grifoni

STYLISTIC Q572

For work use, Microsoft Word and Excel programs pre-installed on the device are adequate for preparing short documents.

Steph Mundell

LIFEBOOK UH574

The Fujitsu LifeBook UH574 allowed for great mobility without being obnoxiously heavy or clunky. Its twelve hours of battery life did not disappoint.

Andrew Mitsi

STYLISTIC Q702

The screen was particularly good. It is bright and visible from most angles, however heat is an issue, particularly around the Windows button on the front, and on the back where the battery housing is located.

Simon Harriott

STYLISTIC Q702

My first impression after unboxing the Q702 is that it is a nice looking unit. Styling is somewhat minimalist but very effective. The tablet part, once detached, has a nice weight, and no buttons or switches are located in awkward or intrusive positions.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?